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Published:  23 July, 2008

Grants of St James's Wine (GSJW), the Bristol-based branded wine division of Matthew Clark, will, together with BRL Hardy, transfer all its wine brands over to newly created company Constellation Wines. Headed up by ex-Hardy's boss Stephen Millar in Australia and Christopher Carson in Europe, Constellation Wines will control a number of the UK's best-selling brands, including: Echo Falls, Hardys, Paul Masson, Nobilo, Seventh Moon and Stowells of Chelsea. GSJW's current managing director, John Mills, will head up the UK trading arm of Constellation Wines, based in Esher. Matthew Clark will remain in Bristol, under the control of newly appointed chief executive Richard Peters, and will retain certain distribution arrangements. The exclusive UK on-trade agreement with Southcorp, however, is not one of them. The arrangement between the two companies is set to end on 1 May, 14 months ahead of schedule. The termination involves the payment of an undisclosed sum to Southcorp. The agreement covered seven of Southcorp's core brands, including Penfolds, Rosemount and Lindemans. An important part of the business involved the distribution of these brands to larger on-trade customers through GSJW, for which Southcorp will now assume direct responsibility.